The true value of financial advice – more than the bottom line

Financial adviser giving valuable advice 

As we progress through life, many of the major events that confront us come with financial costs, whilst also generating a range of feelings and emotions. It’s important to appreciate that the true value of financial advice extends beyond purely maximising the monetary value of your portfolio.

Analysis1 has identified that the value of advice can be deconstructed into four pillars: portfolio, financial, time and emotional. 

Starting with your portfolio – working with an adviser involves construction and rebalancing of your asset portfolio when necessary. A well-diversified, tailored portfolio of investments that mirror your risk tolerance and enables you to work towards achieving your life goals and objectives. 

Financial and time value 

Financial value revolves around planning for both expected and unexpected events, with help provided in a range of areas, including saving and spending strategies, legacy and estate planning, and tax efficiency. Time is clearly one of our most valuable resources and, by securing the services of an adviser, you are able to devote more time to the things you enjoy doing. 

Rest assured 

Emotional value, the fourth pillar, focuses on financial peace of mind. Often highlighted in research studies, one survey1 suggested that three times as many investors report having peace of mind because of their adviser. The advice process allows clients to feel at ease and promotes confidence in their financial future. 

1Vanguard, 2022 and 2023 

It is important to take professional advice before making any decision relating to your personal finances. Information within this article is based on our current understanding and can be subject to change without notice and the accuracy and completeness of the information cannot be guaranteed. It does not provide individual tailored investment advice and is for guidance only. Some rules may vary in different parts of the UK.